The Hp-Cisco Alliance Case Analysis

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Alternatives

Although HP and Cisco meet some challenges during the cooperation. All levels employees are actively looking for a solution to make the alliance effective. Alliance manager is a key role in motivation. They need to spend more time helping alliance. Because no authority of alliance manager, top management of both companies creates long term trust strategy. Core competencies establishes on complete trust without violating. Although it takes months to build the relationship with all levels, the long term benefits reflecting in saving time and more efficient. Comparing to other companies, HP-Cisco alliance employee enjoys the interests of being together, and always likes to influence others both inside and outside. To provide an effective environment for the relationship, top management decides to be minimal product/service overlap and focus on key competition. Comparing to local structure and organization, both two companies would like to look forward, they treat global structure and long term benefit. It makes the job easier and faster, so they wish to combine.

Justification

I believe the HP-Cisco alliance is a right choice for both companies. Even there are a lot of trouble and uncertainty threaten the relationship and industrial position, they share the same desired goals to create value to customers. They began to build a relationship in early 1997. Through almost 20 years of cooperation, they created Nemours high technology products and reliable customer supports. Nonetheless, HP just merger Compaq, the New HP needs to create a new culture, the Cisco could be a catalyst to the competition in that period. With this alliance, they will have opportunity to maximized partner’s value-creation and learn strategy, sales and technology from each other.